“Creme List” for 5/13/2011

This week the "Creme List' saw one new stock enter the elite list and none were removed.  As you can see, ABT is back on top, but this time it does not carry a Buy signal.  In fact, no companies are fairly priced.  This is not unexpected considering the high level of the market. 

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Schrodinger Portfolio Review

No major changes were made in the Schrodinger Portfolio since the last review.  As readers can see from the Dashboard presented below, the Schrodinger's asset allocation plan is in excellent shape.  All asset classes (excluding cash) are in balance.  Last month there were a few asset classes below target and we had an excess of cash.  Those dollars were investing in the asset classes below target, bringing them within the 25% threshold limits.

Of all the portfolios I track, this one receives the least attention and has experienced relatively few trades.  At one time or another we have held stocks due to gifts to the portfolio.  Those were sold and reinvested in ETFs.  Platinum members will see that a few iShares are still part of the portfolio.  Those ETFs have been in the portfolio since it was first launched back in late 2000.  While active decisions were made as to the asset allocations, once those were determined, the portfolio has been passively managed.

 

This ten-year old portfolio just keeps rolling along.  With the portfolio in balance, it makes sense that the IRR value for the portfolio is nearly equal to the IRR value for the ITA Index benchmark.  Both the RR and SR values are positive showing evidence the portfolio carries little risk to the downside.  Bonds are a relatively new addition to the Schrodinger.  The historical record was built primarily using equity investments.

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